Stock Markets May 11, 2026 09:11 AM

Cowboy Space Secures $275 Million, Aims to Build Orbital Data Centers and Own Rockets

Series B values Baiju Bhatt’s startup at $2 billion as it pivots from solar-satellite plans toward rockets-as-satellites strategy

By Ajmal Hussain HOOD

Cowboy Space Corp., founded by Robinhood co-founder Baiju Bhatt, raised $275 million in a Series B round that values the company at $2 billion. Led by Index Ventures with participation from Blossom Capital and existing backers including Breakthrough Energy Ventures and Andreessen Horowitz, the San Carlos startup plans to build data centers in orbit using its own rockets, targeting a first launch in 2028 while still preparing a satellite ride on a SpaceX flight later this year.

Cowboy Space Secures $275 Million, Aims to Build Orbital Data Centers and Own Rockets
HOOD

Key Points

  • Cowboy Space raised $275 million in a Series B that values the company at $2 billion - a significant financing for an early-stage space startup.
  • The company plans to construct data centers in orbit and to build its own rockets, targeting a first launch in 2028.
  • Investors include Index Ventures, Blossom Capital, Breakthrough Energy Ventures and Andreessen Horowitz, indicating strong venture capital interest in orbital infrastructure.

Cowboy Space Corp., a space startup created by Baiju Bhatt, a co-founder of Robinhood Markets Inc., announced that it has closed a $275 million Series B financing that sets the company’s valuation at $2 billion, the company said Monday.

Index Ventures led the round. New investor Blossom Capital joined alongside returning investors that include Breakthrough Energy Ventures, backed by Bill Gates, and venture firm Andreessen Horowitz.

Based in San Carlos, California, Cowboy Space was founded in 2024 and earlier operated under the name Aetherflux. The company has revised its product roadmap: rather than focusing solely on satellites intended to beam solar energy to Earth, it now plans to develop orbital data centers launched on vehicles the company will build itself.

That strategy places Cowboy Space in direct competition with existing launch and orbital infrastructure providers, including Elon Musk’s SpaceX, according to the company announcement. The approach relies on a design in which the rocket’s upper stage serves as the operational satellite once it reaches orbit - a concept Bhatt described in an interview as making the upper stage itself the satellite.

Bhatt said the decision to manufacture the company’s own rockets stems from constrained launch availability. Without its own launch vehicles, he argued, the company would lack control over its operational timeline. The firm has set 2028 as the target year for its inaugural rocket launch.

Despite the pivot toward self-launched orbital data centers, Cowboy Space said it still intends to move forward with a previously announced satellite payload slated to fly aboard a SpaceX rocket later this year.


Context and execution notes: The funding round, valuation and investor list were disclosed by the company. Founding year, prior operating name, the plan to build data centers in orbit, intention to build proprietary rockets, a 2028 launch target and the scheduled SpaceX payload later this year are the elements the company has announced.

Risks

  • Limited launch capacity prompted the company to build its own rockets - highlighting launch availability as a key operational risk for space infrastructure projects.
  • Direct competition with established launch providers such as SpaceX creates competitive and execution uncertainty for Cowboy Space's plan to operate rockets-as-satellites.
  • The company has shifted from its initial focus on space-based solar energy delivery to orbital data centers, which introduces strategic and execution risk tied to the new business model.

More from Stock Markets

S&P Moves Mexico’s Outlook to Negative, Citing Fiscal Strain and Tepid Growth May 12, 2026 Moody's Lowers Everforth Outlook to Negative Amid Elevated Leverage May 12, 2026 Moody's Moves Albemarle Outlook to Stable After Debt Cuts and Stronger Lithium Prices May 12, 2026 Moody's Keeps Garrett Motion Rating Steady, Moves Outlook to Positive May 12, 2026 S&P Lowers Embecta Rating After Sharp Revenue Drop and Market Share Loss May 12, 2026